Ulster Bank Launches Low-Cost Competitive Land Purchase Loan

8th May 2008

Ulster Bank has developed a new low-cost Land Purchase Loan, which offers farmers a very competitive rate to assist them with the purchase of agricultural land. This Land Purchase loan will be available to all farmers, who are purchasing land with the option of interest-only repayments for up to two years, thus allowing farmers the time to develop the land without having to make full loan repayments.

The Land Purchase Loan is also being made available over a repayment term of up to 25 years, an increase on the usual term of between 15 and 20 years, offering farmers the flexibility to make lower repayments over a longer period of time.

Ailish Byrne, Senior Agricultural Manager, Ulster Bank says he expects demand for this loan to be high. "This product has been developed by our Agri-Business specialists to meet the needs of those buying agricultural land. Land is obviously a vital asset in growing and developing a farming business. However, considering the high value of agricultural land, costly loan repayments can often hinder cash flow in other areas. This loan package has been designed with the interest-only option as a means of freeing up cash which would otherwise be tied up in full loan repayments. It is the most competitive loan of its kind and we expect interest to be significant."

Speaking at the launch, IFA President Padraig Walshe said the Ulster bank deal represents an extremely competitive interest rate and flexible terms for farmers. He said farmers borrowing money would be well advised to shop around and avail of the Ulster bank low-cost competitive land purchase loan.

Farmers interested in this loan will be entitled to a free full financial review from their dedicated Relationship Manager at Ulster Bank and transaction fee free banking for the first two years - this means free Anytime Internet Banking for Business, no changes on setting up Standing Orders or Direct Debits and no charges for a Business Card for 12 months.

The Ulster Bank Land Purchase Loan is the latest development from Ulster Bank's Commercial and Business Banking team to provide practical and real support to businesses across the country through access to competitively priced financial products backed up by advice from our agricultural experts. Ulster Bank currently offers the lowest available loan rate to all start-ups, at just 4.95%. For more information visit your local Ulster Bank or log on to www.ulsterbank.ie